Mail makes libel payout to US billionaire

The Daily Mail today paid Sheldon Adelson, described as the world's 12th richest man, "very substantial" libel damages and has been left with a hefty legal bill, according to his lawyers.

Today's settlement comes after the Mail claimed that Adelson, the chairman and chief executive of Las Vegas Sands Corp, had engaged in cut-throat, ruthless and despicable business practices and had held secret talks with Malcolm Glazer to take over Manchester United.

Libel damages were undisclosed, and outside the high court in London, Adelson's solicitors, Schillings, said that publication of the article and its near three-year defence of the claim had cost Associated in the region of £4m.

Associated Newspapers, owner of the Daily Mail, declined to comment, but it is understood that the legal costs have not yet been calculated.

In May 2005 the Mail described Adelson as "the ruthless casino baron who rules Las Vegas".

Today Adelson's solicitor, Gideon Benaim, told Mr Justice Eady at London's high court that the paper's allegations were unjustified, utterly false and highly offensive, and represented a "grave slur" on Adelson's personal integrity and business reputation.

The paper had claimed that Adelson and his Las Vegas Sands business had colluded with Glazer in his bid to gain control of Man Utd, so he could operate a gambling complex at the club's Old Trafford ground.

It alleged that Adelson and Glazer held secret talks before the latter's Man Utd takeover and attempted afterwards to conceal his involvement.

Benaim said that the true position regarding Old Trafford was that Adelson had never met or spoken with Glazer.

"The reporting on this issue by the Daily Mail was completely and totally in error," he added.

Benaim told judge Mr Justice Eady: "The article suggested that Mr Adelson and, by implication, his business as engaging in cut-throat, ruthless and despicable business practices, including that they were inordinately and unreasonably litigious, that they routinely attacked in the press any politician who sided with their enemies, and suggested that the habitually and corruptly bought political favour.

"Examples of Mr Adelson's alleged unreasonable litigiousness were given in the article, including a supposedly bizarre case in which he had even sued himself, by causing Las Vegas Sands to claim £27m in damages from another company in the group, Venetian Casino Resort.

"The article also made serious and unpleasant allegations concerning Mr Adelson's private life. It claimed that he had callously asked his wife for a divorce the night before she was to have a cancer operation, sending a friend to do this rather than asking her himself; and suggested that he had ruthlessly, albeit not unlawfully, stitched up his stepsons by buying their shares in one of his companies at a fraction of their true value."

Benaim continued: "My Lord, these allegations were all unjustified. As such they represent a grave slur on Mr Adelson's personal integrity and business reputation. The allegations were also highly offensive to Mr Adelson, causing him considerable distress and embarrassment. All of the allegations are absolutely and utterly false."

Lindsay Hodgkinson, the solicitor for Associated Newspapers, told the high court that the company acknowledged at an early stage of the litigation that some of the most serious allegations made against Adelson and his company by the Daily Mail were unfounded.

In the light of the detailed investigation of the remaining charges that had since taken place, it withdrew those charges also, Hodgkinson said.

Associated apologised for the damage and distress caused and undertook that it would not publish the allegations again.

The Daily Mail plans to run an apology tomorrow.

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